MGBBT0UBN Case Study: Jet2holidays - Structure, SWOT & PESTLE Analysis

This case study provides an analysis of Jet2holidays, a British package holiday provider, focusing on its organizational structure and business environment. The report examines the company's tall organizational structure, highlighting its advantages and disadvantages, including communication complexities and managerial control. It delves into the internal and external factors impacting Jet2holidays, employing SWOT analysis to assess strengths, weaknesses, opportunities, and threats, and PESTLE analysis to evaluate political, economic, social, technological, environmental, and legal influences. The study concludes by emphasizing the interconnectedness of business functions and the importance of adapting to environmental changes for sustained productivity and profitability in the tourism and hospitality sector.

JET2HOLIDAYS

Table of Contents
INTRODUCTION...........................................................................................................................4
ORGNIZATIONAL STRUCTURE............................................................................................4
BUSINESS ENVIRONMENTS..................................................................................................5
SWOT ANALYSIS.....................................................................................................................6
PESTLE analysis........................................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................1

INTRODUCTION
The tourism is referred as the activities of person from one place to another. It is one of
the growing sectors according to the global economy. Tourism sectors plays an essential role
because it helps in boost nation economy specially in order to increase employment opportunities
and gross domestic products. Tourism is travel for business and pleasure. It is cultural, social and
economical phenomenon which includes the movements of people from one place to another or
one country to another countries for spending their holidays away from home in pursuit of
relaxation, recreation, and take pleasure. It is most important for developing countries because it
helps in promote the cross culture awareness, protecting environment, diversify economy and
generate more income.
The chosen tour operator for analyse case study is Jet2holidays. It is tour operator
company in tourism industry. It is British package holiday provider and its is the second largest
airline in the United Kingdom. Company is granted buy the ATOL licence. Jet2holidays also
offer great value package to destination from ten UK airports. It holidays range includes the
inclusive gateways, packed family favourites, sun soaked luxury (Ahmed, 2020). ATOL helps in
protected package holidays includes 22 kg baggage, return flights and hotel transfer. This report
will discuss the business environments with swot and pestle analysis of tour operators as well as
business structure.
ORGNIZATIONAL STRUCTURE
Organization structure is the system that outlines how the certain activities are directed in
company to achieve the objectives of business. The certain activities are includes such as roles,
rules, responsibilities. The organization structure also helps in determine that how information is
flows between level within the organization. Jet2holidays had tall structure because this structure
includes various layers and level of management in business. Jet2holidays company follow top to
down approach with long chain for better coordination and corporation within the organization.
In tall structure, manager also have the narrow pain of control so, they are able to manage
company in better way. This structure includes various managerial position such as vice
presidents, senior managers, assistant managers and supervisors (Huzzen, Hale and Bennett,
2020). The tall structure consist the pyramis structure because it helps in represent the
communication, control and authority.

Advantages of tall structure:
 It consists the narrow span of control for business managers.
 In this structure roles and responsibilities are distributed in proper manners.
 Business members in business know their roles within the organization.
 It consists more promotional opportunities for workers with the development programs
and design training.
 In tall structure manager supervise to employees in order to accomplish their works and
get more support. Manager also encourage their employees to reach high position and
become succeed within the organization.
Disadvantage of tall structure:
 It consists the longer liner of communication and it is very complex to manage.
 Due to layer of structure, delegation of responsibilities and authority are low.
 It consists less flexibility and creativity and it made complex or workers (Whetsell, Kroll
and DeHart-Davis, 2021).
 Job satisfaction level of employees are also low, and they also get stressed because of
managers time and tall structure adopted the difficult strategies by monitoring and
controlling them. Workers get less eager to work.
 Tall structure also involves the ineffective communication and message are distorted
between worker because it reduces from manager to employees.
BUSINESS ENVIRONMENTS
Business environments is the collection of internal and external factors such as
employees and customer needs as well as demand of customers. It also affects the business and
its internal and external operations (Adamseged and Grundmann, 2020). It consists the various
set of conditions such as economic. Social, political, legal and environmental in which company
tour operations are conducted. Business environment are essential for analyse the business
competitive strategies.

SWOT ANALYSIS
SWOT analysis is strategic framework in business environments for analysis the business
strength, weakness, threats and opportunities. It consists two types of factors such as internal and
external factors. Weaknesses and strength are internal factors whereas threats and opportunities
are external factors. It leads their brand in the tour operator sector.
 Strength: jet2holidays work in collaboration with other companies and various types of
people also attract. This company also help in increase GDP growth of country. They also
keep growth increase and cycle of productivity. company provide travel convenience
which are most important for tourism industry. Company offer package holidays and
transfers. Company have over 3000 employees and customer satisfactions.
 Weaknesses: company face competitive market because tourism industry have large
competition. Business cost structure are increase due to the maintenance cost and labour
cost. Company require to adjust their business cots and price of maintenance. It also
increases fee of maintenance as well as renewal of services (Teoli, Sanvictores and An,
2019). Company face lack of technology problems and its affects business creativity and
innovation. In tourism industry, employees turnover rate are also got high because they
are looking for better opportunity. Jet2holidays have conventional marketing strategies
such as mouth marketing, referrals, etc.
 Threats: pandemic of Covid-19 had badly impact on tour operator business because they
were not expected the Lock-down so business was shutdown. Many people of
Jet2holidays also lost their job due to pandemic. Tour operator has high competitive
because they offer low quality at high price. Political chaos are also affects the market
uncertainty.
 Opportunities: with the changes of customer perception regarding culture, destinations
and improve economic conditions have real impact in tour operator industry (Benzaghta,
2021). Company also ave opportunity to expand their business in competitive
marketplace with better quality services.
PESTLE analysis
PESTLE analysis is the strategic management and planning tool. To analyse the
Jet2holidays is analysing them with the use of pestle analysis. It is very useful tool because it

helps in understand the market growth and helps in analyse the position of company. Pestle is
referred as economic, social, political, technological, legal and environmental factors which are
used to analyse the market of company (Page and Connell, 2020).
 Political factors: It plays an important role in factor that impact Jet2holidays long term
profitability in market. Company operate in tour and travel industry with various types of
political system risk and political environments. Changes in government policies also
affect business performance by enhance environmental uncertainty. High taxation level in
country also helps in influence the profitability of jet2holidays.
 Economic factors: economic factors such as labour market condition, interest rate,
saving and inflation rates, etc. company determine the economic environment of United
Kingdom. Economic development of country also directly impact on business
profitability and its performance. With the helps of labour market condition tour industry
able to attract more employees towards business and enhance their skills to improve the
business performance.
 Social factors: according to the demographic patterns helps jet2holidays to choose the
right market strategy with business growth potential. Cultural are also important for
society so, jet2holidays understand the societal norms and attitudes to tailor the
marketing strategies (Christodoulou and Cullinane, 2019). Jet2holidays offer luxury for
holidays package at the premium price, and they also focus on customer spending pattern
and behaviour for better quality service.
 Technological factors: the technological factors also business to capture technological
trend to achieve the business objectives with its advantages such as boost innovation,
increase profitability and improve the operational efficiency. It influences the social
media marketing for business expansion with assess of marketing strategies.
 Environmental factors: its influence the renewable technologies and waste management
by adopting it. Weather and climate conditions can also influence the business efficiency
because it can increase the cost of operations (Macnamara, 2019). Company take
opportunity to adopt the green business practices and thy can win trust of stakeholders.
 Legal factors: jet2holidays cannot enter in new market without the regulatory structure
and legal environments of customer market. If company avoid the legal aspects then they
get into some problems and it can cause undesired circumstances. Company must follow

the employee protection law such as health and safety law because it helps in provide to
ensure labour safety. Some discriminatory suits against workers can harm business image
and business ability to retain and attract employees.
CONCLUSION
As the conclusion, business organization is consisted type various function within the
organization such as marketing, operations and finance. All function of business depends on each
other. The main aim of business is o increase their productivity and profitability. Understanding
business organization is referred to the business structure entity and its also includes the limited
liability company. It is parent company is jet 2 Plc in tourism and hospitality sector. This
company is private limited organization (Marín Rabiol, 2021).
In the conclusion, There are some main aim of business organization is to create form, so
they work together to achieve the firm goals and objectives. Customer of company can use the
discount code with enter destination, passengers details, review booking, sets and extra and
select meal. Clients can also book heir tickets easily by one click on company websites,
jet2holidays offer inclusive plus and inclusive to customers and provide them better quality
services as well as satisfied them. Business attract more customers and employees thorough
follow the positive structure and culture of organization. In the conclusion, this report elaborated
the business environments and tall organization structure of Jet2holidays with its benefits and
drawbacks. The pestle analysis of tour operator include economic, social, environmental, legal
and political that affect the business.

REFERENCES
Books and Journal
Adamseged, M.E. and Grundmann, P., 2020. Understanding Business Environments and
Success Factors for Emerging Bioeconomy Enterprises through a Comprehensive
Analytical Framework. Sustainability, 12(21), p.9018.
Ahmed, M., 2020. The Pre-action Protocols are a Significant Procedural Aspect of the English
Civil Justice System but Reform is Required: Jet2 Holidays Limited v Hughes and
another [2019] EWCA Civ 1858.
Benzaghta, M.A., and et.al., 2021. SWOT analysis applications: An integrative literature
review. Journal of Global Business Insights
Christodoulou, A. and Cullinane, K., 2019. Identifying the main opportunities and challenges
from the implementation of a port energy management system: A SWOT/PESTLE
analysis. Sustainability.11(21). p.6046.
Huzzen, B.E., Hale, A.M. and Bennett, V.J., 2020. An effective survey method for studying
volant species activity and behavior at tall structures. PeerJ.8.p.e8438.
Macnamara, F., 2019. Jet2 introduces vegan and gluten-free food options to its
flights. Telegraph & Argus (Bradford, England).
Marín Rabiol, J., and et.al., 2021. Can a Mature Sun & Beach Tourist Destination Change Its
Image Among Tourists? The Case Study of Lloret de Mar. © Tourism: An International
Interdisciplinary Journal, 2021, vol. 69, núm. 4, p. 527-542.
Page, S.J. and Connell, J., 2020. Travel intermediaries: Tour operators and agents.
In Tourism (pp. 134-160). Routledge.
Teoli, D., Sanvictores, T. and An, J., 2019. SWOT analysis.
Whetsell, T.A., Kroll, A. and DeHart-Davis, L., 2021. Formal hierarchies and informal
networks: How organizational structure shapes information search in local
government. Journal of Public Administration Research and Theory.31(4). pp.653-669.

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